Hertz Global Holdings Inc (HTZ)
Working capital turnover
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Revenue | US$ in thousands | 9,049,000 | 9,371,000 | 8,685,000 | 7,336,000 | 5,258,000 |
| Total current assets | US$ in thousands | 2,338,000 | 2,397,000 | 3,547,000 | 4,426,000 | 4,468,000 |
| Total current liabilities | US$ in thousands | 642,000 | 3,096,000 | 1,738,000 | 1,592,000 | 2,979,000 |
| Working capital turnover | 5.34 | — | 4.80 | 2.59 | 3.53 |
December 31, 2024 calculation
Working capital turnover = Revenue ÷ (Total current assets – Total current liabilities)
= $9,049,000K ÷ ($2,338,000K – $642,000K)
= 5.34
Based on the working capital turnover data provided for Hertz Global Holdings Inc, we observe the following trends:
1. December 31, 2020: The working capital turnover was 3.53, indicating that the company generated $3.53 in revenue for every $1 of working capital invested. This suggests a moderate efficiency in utilizing its working capital for revenue generation.
2. December 31, 2021: The working capital turnover decreased to 2.59, reflecting a decline in the efficiency of the company in converting working capital into revenue. This decrease could be a sign of possible inefficiencies or changes in the company's operations.
3. December 31, 2022: The working capital turnover significantly improved to 4.80, showcasing a strong performance in generating revenue relative to its working capital base. This increase indicates an enhanced efficiency in utilizing working capital during the period.
4. December 31, 2023: The data is marked as "—", suggesting that the working capital turnover figure is not available for this period. Without this data point, it is challenging to assess the company's efficiency in utilizing its working capital effectively.
5. December 31, 2024: The working capital turnover surged to 5.34, indicating a further improvement in efficiency in converting working capital into revenue. This suggests that the company was able to generate substantial revenue relative to its working capital investment during this period.
In summary, the working capital turnover for Hertz Global Holdings Inc has shown fluctuations over the years, with periods of both improvement and decline. The company should continue monitoring and managing its working capital efficiency to ensure optimal utilization for revenue generation.
Peer comparison
Dec 31, 2024